If you lived in a place like Souris, Montague, Morrell, or any small town on the Island....what type of business would you open if you had the money? I am just wondering, because hubby and I are planning on moving back "home" in 2-3 years, and wonder what would be beneficial to Islanders and profitable to us?
I am not talking big box stores or "chains"...just a small "mom and pop" type business.

If you're planning on moving to a small town, Souris, Morell or any small town for that matter, and you're planning on opening a "Mom and Pop" business, my advice would be don't. Please come to P.E.I. and retire here, we'd love to have you. But as for small business's in a small town, it would be hard to make a go of it. People travel to Charlottetown to do any kind of retail, so that's definitely out.
But if you really want to start some kind of a business without investing your hard earned savings I do have a suggestion. "Bed & Breakfast" operations seem to go over well around here. Now of course it is just seasonal, four to five months a year, and if you don't mind sharing your house with strangers, it's just the ticket for you. Some people make a few bucks from it, but you'll never get rich off it. You'll probably meet some interesting people though.
If your husband is handy with his hands, he could start a small engine fix it shop,(repairing lawn mowers, chainsaws, snowblowers), that type of stuff. Also maybe an appliance repair shop, they are always hard to find. He could do the work in his garage, nothing big.
There's a couple ideas, stay away from retail or God forbid restaurants though.

Ponderosa already failed here once.Why do you think it would be successful a second time around?

Maybe the economics have improved? Maybe with better managment it could survive. How many other companies have failed and still reopen? ie: Tradewinds, Playhouse, Myron's)

And how have those places done upon reopening?
Not very well.

There is a reason that there is no Ponderosa here.
There is a reason why there is no TGIFridays, or Keg, or Ruth's Chris, or Bennihana, or Cracker Barrel, or Outback Steakhouse, or any number of franchise restaurants here. We don't have the population base.

I live in Montague and seen a few businesses try and fail. The most recent was a bookstore.

Small restaurants seem to do well here. I will say that there's not much for teenagers to do around here. The kids recently got a Generation X spot to hang out at but other than that they don't have much. Maybe open something that would appeal to kids?

The idea of a restaurant of any kind doesn't appeal to us. Raised on the Island, I have seen too many fail.

We will only be in our early 40's when we move back, so the idea of a Bed and Breakfast wouldn't work for us either. Altho, I would love to do it as an early retirement investment.

My husband works for Microsoft, (a computer junkie) so the idea of a repair shop, small engines type of thing is out. Wish he was more handy ...haha..just kidding.

We do like the idea of something for kids....maybe a pool hall/ arcade/music/dancing type of thing. A safe place for kids to hang out...parents would be welcome...we could have different theme nights on weekends.

It could be a place for kids to come to during lunch breaks, after school, weekends.

We also thought of splitting it up .....kids til 7-8 pm...then open to adults only from 8-1...with a full bar.

So many ideas...LOL.....but we have a couple of years to work on it. We also thought that the next time we are "home" to kind of go either "door to door" or stand outside of Tim's and poll people. What do you think?

however, recently i have notcied how many people are complaining about the number if fast food outlets there are on PEI. Boston Pizza opens in Charlottetown in a bit, and i think there are also plans to open one in Summerside. So maybe a Montana's steakhouse or pub of somesort...pubs seem to do well in PEI.